Help!!! 100% Mortgage

Marcos117

qwertyuiop

meanmachine_2

Marcos117 wrote:

But even though we haven't paid any of the mortgage off, the house will still be worth more than when we purchased it.

Mm possibly, after you've taken off maintenance costs, selling/buying costs, mortgage costs.

If the cost of the IO really was the same as the rent, you were paying too much rent mate.

Still, do post your details.

Although, as you say, you're paying the same as rent, so why the sudden panic?

Marcos117

qwertyuiop

Joe_Bloggs

@Marcos117
Is it really an interest only mortgage ? Is there some kind of holiday period from capital repayments ? It looks like you have got the better of your debt from your signature. What rents did you face before the mortgage ? What one off costs did you have to pay and were they added to the mortgage or a loan ? Did your solicitor explain the features of the mortgage to you? Did you sign forms that indicated that you fully understand the terms and conditions ?

You can save money and save others money by participating in the site with your experiences and observations.
J_B.

emmaHarris_2

Did you sign forms that indicated that you fully understand the terms and conditions ?

Hi Joe,

Sorry to intrude but that statment in itself is a debatory point anyway in all mortgage markets. I know what you meant though.

emmaHarris_2

You can save money and save others money by participating in the site with your experiences and observations.

Good advice Joe.

meanmachine_2

Marcos117 wrote:

We were renting a different house and £680 a month wasn't a bad deal for what we got.

The suuden panic is because I've just worked out how much we're gonna pay in interest over the 3 1/2 yrs.

So you were renting a better place before, for the same cost as an IO mortgage on your current, smaller place? Is that correct?

OK, in which case you're literally betting the house on capital growth. Otherwise you've made a poor financial decision.

Or not...

Again, the devil is in the detail.